Spreadsheets are dangerous. Very dangerous. Unlike other software development that utilizes rigid complex testing strategies worked on by a team, spreadsheets are deceptively easy to use and are typically created by a single individual.
A groundbreaking study in 1998 by Raymond R. Panko at the University of Hawaii, delves into the psychological reasons why the majority of spreadsheets contain at least 1 error, often materially significant.
Mr. Panko concludes that when complex tasks are performed, the average human error rate is approximately 5%. This error rate, he says, is fairly consistent along a wide range of complex human tasks. This error rate also does not correlate to the experience of the individual performing the task.
Several factors come into play including human nature to be overconfident when producing a spreadsheet as well as the inability to see one’s own errors.
Two suggestions, among many, to lessen the percentage of errors in a spreadsheet is to have a person other than the original creator of the spreadsheet check for errors. According to John F. Raffensperger in a different article, a creator of a spreadsheet should use a simple and well laid out design with short arcs of precedence.
The following link will lead to Mr. Panko's study and conclusions:
http://panko.shidler.hawaii.edu/SSR/Mypapers/whatknow.htm
A groundbreaking study in 1998 by Raymond R. Panko at the University of Hawaii, delves into the psychological reasons why the majority of spreadsheets contain at least 1 error, often materially significant.
Mr. Panko concludes that when complex tasks are performed, the average human error rate is approximately 5%. This error rate, he says, is fairly consistent along a wide range of complex human tasks. This error rate also does not correlate to the experience of the individual performing the task.
Several factors come into play including human nature to be overconfident when producing a spreadsheet as well as the inability to see one’s own errors.
Two suggestions, among many, to lessen the percentage of errors in a spreadsheet is to have a person other than the original creator of the spreadsheet check for errors. According to John F. Raffensperger in a different article, a creator of a spreadsheet should use a simple and well laid out design with short arcs of precedence.
The following link will lead to Mr. Panko's study and conclusions:
http://panko.shidler.hawaii.edu/SSR/Mypapers/whatknow.htm
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